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Pinnacle West reiterates 2026 EPS guidance amid Arizona load growth
The company forecast full-year 2026 EPS of $4.55 to $4.75, while Q2 results showed higher revenue but lower net income as interest expense and depreciation rose.
Pinnacle West Capital Corporation reiterated its full-year 2026 earnings per share guidance of $4.55 to $4.75, which aligns with the analyst consensus estimate of $4.72, according to Yahoo Finance. Management said it expects to reach the upper end of the range, supported by robust load growth in Arizona. In Q2 2026, the utility reported consolidated net income of $178.6 million, or $1.43 per diluted share, down from $192.6 million, or $1.58 per share, a year earlier. Revenue increased 7.1% year over year to $1.46 billion, beating analyst forecasts of $1.40 billion. Yahoo Finance reported that the year-over-year decline in the bottom line was driven by higher interest expenses, increased depreciation tied to capital investments, and lower transmission service revenues. Even so, demand remained strong, with weather-normalized total retail electricity sales up 9.6% year over year and customer count rising 2.1%. On the regulatory front, the article said TD Cowen raised its price target on Pinnacle West to $106 from $101 and kept a Hold rating, pointing to a constructive outlook for the utility's Arizona rate case and continued regional demand growth. The piece also noted that a staff agreement on an equity ratio is intended to reduce financing uncertainty and improve credit stability, while investors continue to weigh potential regulatory headwinds and rate-case outcome uncertainty as key valuation factors.